From Wall Street to Asia to Europe, everyone is standing at attention waiting for the quarterly report Nvidia which will be announced this evening, after the close of Wall Street. The company, queen of artificial intelligence, acts as a benchmark for the entire tech sector: expectations are still for stellar revenues, but there are also those who fear that any minimal disappointing element could drag down a sector that has done a lot. However, investors remain cautious due to the difficult geopolitical situation.
Wall Street little changed yesterday. Everyone waiting for Nvidia tonight
On Wall Street the three main indices closed around parity, Dow Jones + 0,02% S&P500 +0,16%, Nasdaq Composite +0,16%. The Bloomberg Magnificent Seven index closed 0,3% lower. Nvidia it grew by 1,5%. Apple +0,4%, after announcing the date of his next event: it will be September 9th and will be held at the Steve Jobs Theater in Apple Park. Apple's historic financial director Luca Maestri will still participate, but he has already announced his resignation at the end of the year, leaving the role to his deputy Kevan Parekh after more than a decade.
The entire technological sector is waiting for the Nvidia quarterly, the queen of AI, released tonight after the market is closed. Investors will be looking to understand whether Nvidia, considered a benchmark for the AI sector, has continued to benefit from strong demand for AI, a trend that has seen the stock rise nearly 160% in 2024 and 1.000% from the low reached during the bear market in October 2022. Analysts, on average, provide that the semiconductor giant will experience growth in revenues of over 70% in the current quarter. Some estimate a larger increase. But analysts at Bank of America warn: any disappointing element, even small, in the company's performance could trigger a ripple effect on stock indexes.
The wait is also growing for the data onUS inflation. The Personal Consumption Expenditures (PCE) price index, the Fed's preferred indicator for measuring inflation, for the month of July will be published on Friday 30 August. The estimates are for a slight increase on an annual basis to +2,60% (from +2,50%) as regards the global data and to +2,70% (from +2,60%) for the "base" data .
Asia: Samsung shines for the agreement with General Motors
Even for the Asian price lists the guiding star at the moment is Nvidia awaiting its quarterly report. Asian stocks with direct exposure to Nvidia are mixed: Tsmc is unchanged in Taipei, the Japanese manufacturer of semiconductor testing equipment Advantest Corp. The South Korean memory chip maker rises 3%. SK Hynix, a major supplier of Nvidia, is almost flat, Semiconductor Manufacturing International, China's largest chipmaker and Nvidia's local competitor, fell more than 13%.
The Kospi of South Korea it is down 0,5%, but the South Korean stock is against the tide Samsung Sdi (+3,2%) after announcing the agreement with General Motors for the construction of a joint factory of batteries for electric vehicles in the US state of Indiana. The two companies will invest $3,5 billion to build a battery cell manufacturing plant with an annual production capacity of 27 gigawatt hours, initially. Indeed, annual capacity is expected to rise to 36 GWh by building prismatic cells, with the plant aiming for mass production in 2027.
THEAustralian ASX 200 loses 0,6%. Consumer price index data was stronger than expected for July. The headline CPI rose +3,5%, slightly above expectations and well above the annual target of 2%/3% set by the Reserve Bank of Australia. The reading fueled fears that stiff inflation could potentially invite the RBA to raise rates, after policy makers had already warned of such a scenario in early August.
Still under pressure Chinese price lists, following Canada's announcement that it would impose high trade tariffs on China's electric vehicle industry. Hong Kong's Hang Seng -1%, CSI 300 and China's Shanghai Composite -0,7% and -0,3%. The Nikkei 225 moves just above parity. The index Indian Sensex it is little moved, at historical highs.
Other variables: bitcoin down 4%, third consecutive sharp decline
The yields of government bonds ten-year rates are slightly moving away from the lows of the year. Treasury Ten-year notes at 3,82%. Waist ten-year to 2,28%. construction sector ten-year at 3,66%, spread 137. TheEuro dollar it is at 1,115, down 0,3% and for Citi these levels are interesting to buy dollars. Petroleum: Brent and WTI moved little, affected by growing geostrategic tensions. Gold -0,6% to 2.509 dollars after having reached the new all-time high of 2.531 dollars last Tuesday. The trend of the Bitcoin which lost 4% to 59.300 dollars, recording the third consecutive sharp decline.
Spotlight on GBP which yesterday reached its highest level since 2022 against the dollar in relation to the caution on rates by the Boe, but what is worrying are the words of the new British Prime Minister Keir Starmer who announced a "painful" budget maneuver for October due to the "large demands ” which the government will have to make to the public, adding that those with “broader shoulders should bear the heaviest burden”, reports the BBC. Starmer added that he inherited “not just an economic black hole, but a social black hole” from the previous Conservative government.
European stock exchanges, what to follow today
European stock markets are expected to rise at the start of the session based on the indications provided by futures: +0,16% for the future on the Eurostoxx50, +0,06% for the future on the Dow Jones and +0,03% for the future on the S&P500. Milan's FtseMib closed Tuesday with a gain of 0,5%, Frankfurt's Dax +0,35%, despite the very disappointing consumer confidence index.
B for Bank successfully concluded the placement of a new Covered Bond issue for an amount of 500 million euros with maturity 5 years (July 2029) which reopened the Italian banking bond market after the summer break. This is the second issue of European Covered Bond (Premium), intended for institutional investors, carried out by the Bank during 2024. The issue attracted orders exceeding Euro 1,9 billion from 68 investors. The annual coupon was determined to be 2,875%, with an issue/re-offer price equal to 99,458%, equivalent to the yield to maturity equal to 2,997%.
Credit Emiliano announced its intention to exercise the voluntary early redemption option of its €500.000.000 Senior Non-Preferred Bonds (of which €337.961.000 are still outstanding following the repurchase of €162.039.000 by the Issuer ) and to repay all outstanding Notes on October 25th. Early repayment will be at par along with accrued and unpaid interest.
Generali. The bancassurance agreement between the banks fades away Liberty Insurance, one of the main Spanish banks, fourth in capitalization with 7,1 billion euros and sixth in assets and Bankinter due to disagreements on commercial economic conditions. Bankinter had chosen the Spanish insurance company as a partner also due to its presence in other European markets, such as Portugal and Ireland and based on the original agreements, Liberty Seguros should have acquired 49,9% of the joint venture. Meanwhile, the Lion launches the RedClick (P&C) platform in Ireland.
A2A. The Antitrust has given the green light to the acquisition of the electricity networks by the multi-utility of Milan and Brescia Enel in the provinces of Milan and Brescia. The operation, which should be completed in the fourth quarter of this year, involves an outlay of 1,22 billion euros.
Italgas concluded the due diligence on 2i Rete Gas in mid-August, from which no obstacles emerged to the operation whose value should exceed 5 billion euros, writes Il Corriere della Sera.
That. Pier Francesco Ragni, current corporate deputy general manager of Acea, was also appointed head of the administration, finance and control function and chief financial officer, replacing Sabrina Di Bartolomeo who resigned from the role and from that of manager in charge of editorial work of the company's corporate accounting documents to pursue new professional challenges. Acea's board of directors will meet on August 31st to proceed with the appointment of the new manager.
Brunello Cucinelli On the agenda is the Board of Directors' meeting for the first half of the year (preliminaries published on 11 July), followed by a conference call (18,00 pm).
Ferrari On Tuesday it closed at a new all-time high of 438,40 euros, after Morgan Stanley raised the target price to 465,70 euros.
Today's macro data
At 08:45 the consumer confidence index for August France (previous: 91 points; consensus: 92 points), at 10 am the M3 money supply in July of the Eurozone (previous: +2,2% yoy consensus: +2,7% yoy) and industrial turnover in June Italy (previous: -0,9% month-over-month, -4,8% year-over-year). Instead, give it United States at 13pm the weekly mortgage request index arrives (previous: -10,1%) and at 16pm the weekly oil stocks (previous: -30 million barrels).
